How To Find The Best Suppliers And Manufacturers In China

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With nearly 80 million companies in China accounting for over 20% of the world’s total global exports, it’s no secret that finding the right Chinese suppliers and manufacturers can be pretty intimidating. China has approximately 2 million engineering graduates each year, all of which harbour highly advanced skills that have made China’s economy and the trading system one of the best in the world.

manufacturers in china

Did you know? China has the largest manufacturing workforce in the world with over 115 million employees, according to China2West Services.

There’s a lot to consider when you scout for a Chinese supplier, such as tax regulations, international payments, potential scams and reliability. Knowing well what you’re getting into first is half the battle won. It’s not uncommon that buyers send payment to a Chinese supplier only to never receive their products and never hear from them again. The good thing though is that these potential risks are avoidable if you know what to do.

Your product guidelines

An important part of scouting suppliers in China is knowing the specifications of your product. Compile a blueprint of your product’s requirements to ensure that your Chinese supplier is able to provide you with everything you need. Mind you, translating this document into their respective language is also a vital factor in properly meeting your product requirements.

manufacturing in china

Check out reviews

Finding reviews online increase a supplier’s credibility, value and impressions while creating a significant competitive advantage. If the Chinese supplier or manufacturer you have picked out doesn’t have much to review online, you may want to cross them off your list. They may not be a trustworthy company.

Try to find reviews that illustrate engineering processes, invoice processes, quality processes, pricing, the degree in which their customers have been satisfied, legal obligations, social compliances, taxes and their overall background as a supplier.

By tackling a manufacturer’s audit with an in-depth analysis conducted by yourself, the chances of picking a safe and secure factory in China are significantly higher.

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Did you know, according to National Geographic, the materials used to bind the Great Wall of China came from sticky rice?

Online Marketplaces

There are a handful of online marketplaces that offer various products to help you narrow down what you’re trying to find. The best ones out there are:

payments online

Although these websites are trustworthy, beware of other websites you stumble upon in this regard. There are many scammers out there, so make sure you invest in a website that has a good reputation if you decided to use online marketplaces to find your suppliers.

Plan ahead for Chinese New Year

Try to avoid doing business with manufacturers or suppliers in China around Chinese New Year. With many skilled employees working for a low wage, it’s quite common for companies to lose a handful of their staff when the holiday rolls around. Many workers go on vacation– and with the demand for cheap labour moving out of major coastal regions– they find better work elsewhere.

The turnover rate causes a lack of efficiency and disorganization with respect to the operational duties. Administrative staff usually take two weeks off, whereas labourers generally take a minimum of four; this consequently affects inventory levels, the speed of your order, as well as the quality of your order.

It’s important to remember that China nurtures a population of nearly 1.4 billion people, and while employees are very replaceable, manufacturing companies and suppliers can’t always ensure the quality of their service or products during these hectic times so take care.

Chinese sourcing agents

Sourcing Agents in China can significantly help you identify who is a reputable supplier, and who isn’t.

A good rule of thumb is that they must have adequate (if not excellent) market and industry knowledge with a reputable history of professional experience in a related field. They should know about such complications as logistics, geographic implications, as well as certain restrictions that laws entertain, given relevant situations.

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Factory inspections

A great way to ensure that a supplier in China is up to your standards is by hiring a quality control inspector or a health inspector. Quality control employees generally inspect many factories to make sure operational activities are going smoothly. They observe the process the factory implements and recommends necessary changes or adjustments.

Making payments

When you’re sending money to China, there are some things you’re going to want to avoid. For one, making fast and easy payments to China is a critical factor in keeping your suppliers happy and to keep your priorities at the top of their minds..

When you send money to China, going through your bank isn’t your best option. You see, banks use wire transfers to send money, which is a complicated and time-consuming process that won’t favour you or your Chinese partners. In China, suppliers expect to be paid in a predictable and timely manner.

When you register with an alternative platform to make international payments, you’re saving a great deal of time and money. For example, a company like REMITR uses blockchain technology (and has won numerous awardsspan style=”font-weight: 400;”> for their advancements in the tech world) to make international money transfers faster, easier, more efficient and affordable. This way you can pay off your Chinese partners without any stress while maintaining both a positive and valuable relationship with them.

You can make business payments across the world with REMITR for a flat fee of $5 when paying invoices in RMB or $10 when paying in USD. They also provide the option of sending personal payments overseas for free. Alternative platforms entertain much better prices, efficiency and processing speed than any other bank. This prevents payroll problems from happening as well, while simultaneously advancing your business in the most progressive and cost-efficient way.

When you make payments in RMB using REMITR, you are able to send the exact RMB or Yuan amount to your supplier as per their invoice. This is a unique feature of Remitr which enables suppliers to receive the exact amount as per their invoice. They are no longer at the mercy of their receiving bank in China who would have otherwise received USD through a wire and then converts the USD to RMB at their own rates.

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